Gildan Activewear Inc. (GIL: TSX and NYSE) is pleased to share the publication of its 17th Environmental, Social, and Governance (ESG) report, available here. The 2020 ESG report showcases Gildan’s approach and commitment to ESG, the Company’s 2020 performance results, and key priorities towards continuing its vision of Making Apparel Better®.
In 2020, the Company faced unprecedented circumstances due to the impacts of the COVID-19 pandemic and two back-to-back hurricanes in Central America. Still, despite these challenging events, Gildan ended the year on a strong note, demonstrating that operating and financial performance combined with a focus on ESG creates value for all stakeholders.
“Last year, more than ever, we were able to witness the strength and resiliency of our unique business model and the importance of ESG,” said Glenn Chamandy, President and CEO of Gildan. “While we are pleased with the success and recognition we have achieved, there is still more work to be done and we are now working on our “Next Generation” ESG strategy and a new set of long-term goals, which we will announce later this year.”
In 2020, Gildan received some of the following recognition from organizations worldwide for its ESG practices:
* Top 100 Most Sustainability Managed Companies by The Wall Street Journal - ranked 32nd
* Dow Jones Sustainability Index - 8th consecutive inclusion
* CDP's Climate Change Report - included in the Leadership Band with an A- score
* SAM Sustainability Yearbook - 8th consecutive inclusion
* FUNDAHRSE CSR Seal -13th consecutive inclusion
* Fashion Transparency Index - top 25 brand
Gildan’s 2020 ESG report is available here and 2020 highlights from the report can be found below:
For over 16 years, Gildan has measured, monitored, optimized, and reported its environmental results aimed at lowering its impact on the planet. In 2020, Gildan completed its second set of 5-year environmental targets, and while the Company was not able to meet all its goals as it diverted attention and resources to navigating through the pandemic, responding to the aftermath of the hurricanes, and putting its people first, Gildan was still able to make some important progress.
Key 2020 environment highlights include the following:
* 33% of Gildan’s total energy came from renewable sources
* 88% of Gildan’s total waste was recycled or repurposed
* 11.4% reduction in water intensity achieved from 2015 to 2020
* 14% decrease in Gildan’s total waste from 2015 to 2020
Gildan takes its responsibility of being an ethical manufacturer seriously. One of the Company’s longstanding priorities has been to enforce and protect the fair treatment of the people who manufacture products throughout its supply chain. In 2020, Gildan achieved the vast majority of its social goals and maintained industry-leading working conditions and labour practices by creating safe and healthy workplaces, respecting human and labour rights and employees’ freedom of association, empowering women, and offering competitive benefits.
Key 2020 social highlights include the following:
* Gildan mobilized a team of experts to develop and implement stringent biosecurity protocols in its facilities to protect employees during COVID-19
* Humanitarian aid and a disaster relief program were activated to support employees and local communities affected by hurricanes Eta and Iota
* Employee wages in 100% of Gildan-owned manufacturing facilities were evaluated based on the FLA data-collection tool
* 53% of employees were covered by a collective bargaining agreement
* 97% of employees were represented by formal health and safety committees
* 207,000 hours of employee training were dedicated to occupational health and safety (OHS)
* $1.3M was donated to community projects in regions where Gildan operates
Gildan considers strong and transparent governance practices to be an essential factor in the organization’s overall success, and Gildan is committed to adopting and adhering to the highest standards in governance to foster a culture of integrity, accountability, and transparency throughout the organization. Since 2008, Gildan has disclosed its ESG performance according to the Global Reporting Initiative (GRI) Standards (Comprehensive), and for the first time in 2020, Gildan disclosed its data aligned with the Sustainable Accounting Standards Board (SASB) standards. Finally, Gildan completed its first climate change disclosure in 2020 in support of the Financial Stability Board's Task Force on Climate-Related Financial Disclosures (TCFD) framework.
Key 2020 governance highlights include the following:
* 9 out of 10 of Gildan’s Board of Directors were independent
* 40% of Gildan’s Board of Directors identified as being a member of a “designated group” as defined by the Canadian Employment Equity Act, with three Directors identified as being women and one identified as a member of a visible minority group
* Two thirds of Gildan’s three Board level committees are chaired by women.
Gildan is a leading manufacturer of everyday basic apparel which markets its products in North America, Europe, Asia Pacific, and Latin America, under a diversified portfolio of Company-owned brands, including Gildan®, American Apparel®, Comfort Colors®, Gildan® Hammer™, Prim + Preux®, GOLDTOE®, Anvil® by Gildan®, Alstyle®, Secret®, Silks®, Kushyfoot®, Secret Silky®, Therapy Plus®, Peds® and MediPeds®, and under the Under Armour® brand through a sock licensing agreement providing exclusive distribution rights in the United States and Canada. Our product offering includes activewear, underwear, socks, hosiery, and legwear products sold to a broad range of customers, including wholesale distributors, screenprinters or embellishers, as well as to retailers that sell to consumers through their physical stores and/or e-commerce platforms, and to global lifestyle brand companies.
Gildan owns and operates vertically-integrated, large-scale manufacturing facilities which are primarily located in Central America, the Caribbean, North America, and Bangladesh. Gildan operates with a strong commitment to industry-leading labour and environmental practices throughout its supply chain in accordance with its comprehensive Genuine Responsibility® program embedded in the Company's long-term business strategy.
More information about the Company and its corporate citizenship practices and initiatives can be found at www.gildancorp.com and www.genuineresponsibility.com, respectively.